Oil prices fall over 1 percent on recovery in United States output

Kuwait Oil Minister: No Plan to Exit Oil Cuts

Kuwait Oil Minister: No Plan to Exit Oil Cuts

American shale oil companies are expected to make a surprise comeback in 2018 as prices stabilise, which could see the USA become the world's leading energy giant and eclipsing major producers in the Gulf region.

U.S. West Texas Intermediate and international-benchmark Brent crude oil funds are trading lower early Friday amid concerns over rising U.S. production. The February contract expires at Monday's settlement.

Brent crude futures LCOc1 were at $68.46 at 0259 GMT, down 85 cents, or 1.2 percent, from their last close. However, such are the geopolitical uncertainties and the ever-dynamic prospects for United States shale that we should expect a volatile year.

Al Mazrouei said, "all of those give the right signals to market and we have seen the market giving us back right signals in terms of reducing inventories, in terms of approaching market recovery and we are in good shape, I'm optimistic the rest of the year will be good as well".

Several analysts have also predicted U.S. oil output to break through 10 million barrels per day soon.

Nonetheless, EIA expects U.S. shale oil supply to add 1.8 million bpd over the next year, matching the production cut agreed by OPEC, Russia and other top oil manufacturing nations.

Twitter to notify 677775 Americans who interacted with Russian-linked accounts
Since beefing up its pravda-radar tools, Twitter said it detected about 523,000 automated login attempts to its service every day. Twitter now believes that there were a total of 3,814 accounts associated with the IRA, which posted a total of 175,993 tweets.

The Russian government considers that the global oil market is coming to balance and is thinking of exiting an output reduction agreement with OPEC, stated the country's Minister of Energy Alexander Novak. In November, oil ministers from OPEC and non-OPEC member nations agreed to extend output cuts for the duration of 2018. "We have agreed earlier and agreed today that this format of cooperation between OPEC and non-OPEC countries can be used as a consultations format after the deal is over", he said.

Separately on Sunday, the UAE's Oil Minister Suhail Al Mazroui said he expected a rebound of shale oil supply and that Opec producers were not underestimating its impact on the market, according to Reuters. "Explosive growth in the USA and substantial gains in Canada and Brazil will far outweigh potentially steep declines in Venezuela and Mexico".

BHGE rig data shows that the number of active rigs in the Permian basin increased by six to 409, which is expected to boost oil output from the Permian to a record high of about 2.9mn bpd by February, or about 30% of the total U.S. oil production.

"A 40,000 b/d downward revision to 2016 demand, however, pushed up the 2017 growth to 1.6 mb/d, while our growth estimate for 2018 remains unchanged at 1.3 mb/d", said the report. The low was seen after the IEA forecasts crude supply to increase in 2018 in its latest monthly report, forecasting non-OPEC supply will rise by 0.2 month over month barrels per day on average.

OPEC, Russia and several other non-OPEC producers began to cut supply a year ago to get rid of a global glut of crude that had built up since 2014.

The IEA expects non-OPEC supply to expand by 1.7 million this year, the biggest jump since the peak of the shale boom. The U.S. shale industry offset the declines by around 60 percent of the production cuts, growing 600,000 barrels a day previous year.

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